Skip to comments.Freddie Mac sells off $305 million in seriously delinquent mortgages
Posted on 10/12/2015 7:22:01 AM PDT by george76
Completes seventh non-performing loan sale. Freddie Mac announced late Friday that it sold $305 million in seriously delinquent loans from its mortgage investment portfolio.
The sale, which was initially announced last month, was completed via auction, with two pools containing 1,611 total loans being sold to a pair of buyers.
According to Freddie Mac, these loans have been delinquent for approximately two years, on average.
In its announcement, Freddie Mac said that given the deep delinquency status of the loans, the borrowers have likely been evaluated previously for or are already in various stages of loss mitigation, including modification or other alternatives to foreclosure, or are in foreclosure.
JPMorgan Chase (JPM) currently services the loans and servicing will be transferred once the sale is settled. The transaction is expected to settle in Dec. 2015.
The sale is Freddie Macs seventh non-performing loan sale since the Federal Housing Finance Agency announced the new requirements for sales of NPLs by Freddie Mac and Fannie Mae to make sure the loans go to capable mortgage servicers.
(Excerpt) Read more at housingwire.com ...
They never say what the winning bids were.
Not good news. But is $305 million in mortgages really that much when you consider the entire market?
The article doesn’t say how much was paid for these loans although they valued the collateral/debt at over 100%.
Did the bankers make out like bandits while cheating the US taxpayer? This article is very light on details.
This is seventh non-performing loan sale. Likely , many more in the near future.
They never say what the winning bids were.
are they worth anything ?
Far too many of these mods went to those that had zero business being given mortgages in the first place.
There were many who were current but struggling, that was the group that should have been awarded mods.
Didn’t we just go through this in .... 2007-08?
Does B. Frank and friends have to pay back the losses to the taxpayer for foisting these fiascos on the unwilling public (I have no sympathy for the banks that have BEEN in bed w/ the fed/govt for ages)??
I haven’t heard how many times the GOPe has attempted to repeal that piece of garbage as well (Yeah, I know they support it as much as the Dems).
Banks were apparently forced to make crazy loans to people with virtually no assets, , no job, no income, etc. In trade for taxpayer backing.
The regulators were dragged into Congressional hearings before Barney Frank, Maxine Waters, and Franklin Raines ; then called racists for requiring reasonable regulations . So the regulators folded.
Senate Committee Hearings on Fannie Mae & Freddie Mac 2004
Democrats were WARNED of Financial crisis and did NOTHING.
Probably not. But the point is they imply that they sold off $305 million WE are responsible for in one way or another. I’m just interested in what they actually had to sell them for......from a taxpayer standpoint...
My guess would be a pittance.
The famous NINJA loans, No Income, No Job or Assets.
Seems quite the opposite IE: govt lowered the regulations and banks followed the lowest-common-denominator (LCD). Doesn’t sound like ‘force’ to me.
Of course, voluntarily FOLLOWING the LCD, I lack the sympathy when those deadbeats they allowed to take loans...defaulted. What I do have is ire and contempt for Congress to have bailed out the same w/ taxpayer $$.
Much like GM, they should have been allowed to go under, bought up and the institution(s) possible made stronger w/ the knowledge; instead we got ‘more of the same’, ‘too big to fail’ and more illegal/unconstitutional spending thanks to the GOP (I KNOW where the DEM camp resides, so I had NO hope there of anything different).
Even if they WERE coerced, I didn’t hear much, if at all, the warnings from the same; let alone the GOP(e) ‘leadership’/party....
Barney Frank and other DUmmies tried force, then switched to bribery by using the US taxpayers wallets to cover the bank loses.
The GM fast bailout crammed down stock holders and bond holders; while rescuing the Union thugs. Violating US Bankruptcy laws.
The enemedia was covering up the truth.
Both of which, if we were still a Republic, wholly illegal and unconstitutional.
Worse yet, even w/ the new GOPe majority, there has been NO, none, nada, zero attempt to repeal ONE unjust law, regulation, department, agency, etc.
I’m waiting for the typical FR meme (from some) of “THIS election is the *most* important.”, “feet to the fire”, blah blah blah...
1st question to ANY candidate (establishment) should be “What have YOU done (got passed) to reduce the size of govt and restore our Rights, Liberty and Freedom?”. And, when the standard BS answer of hemming/hawing follow-up with “Are you NOT a member of Congress? Could you not have called a presser? Took the word to the People? What did YOU do instead of standing in back, silent and nodding?”.
Course, that would take a media that wasn’t in the tank already and people smart enough to ask concise, poignant questions that leave little/no ‘wiggle’ room. It for sure won’t sway the gray hairs of reflex, or the ‘pretty boy/girl’ popularity, etc...
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